Lien for Unpaid Money – Registration
A lien on property for unpaid purchase money exists by operation of law, and exists wherever purchase money remains unpaid.
However, its registration as a burden is governed by the Registration of Title Acts and Rules. Rule 126 explicitly requires the consent of the purchaser. It provides that:
“An application for registration of a lien for unpaid purchase money … shall be accompanied by the prescribed assent to its registration as a burden.”
The “prescribed assent” is prescribed by Rule 103, which boils down to this: either produce the consent of the purchaser (or his personal representative) or get a court order ordering its registration. The consent may be given under signature of the purchaser or that of his solicitor.
The lien, if not registered, affects the purchaser and any volunteer taking under a disposition from the purchaser. If not registered, however, it would not affect any new purchaser for value.
It can be registered as a burden on application in writing by the vendor or his solicitor, accompanied by the consent of the purchaser. If the consent is not provided, it would require a Court Order.